...case Exhibit 3, which fast-casual and full-service restaurant chains appear to be Panera’s closest rivals? Competition “Third Place” segment * Panera has huge competitors such as, Einstein, Starbucks, Atlanta Bread Co and Panera’s Menus are quite similar. They all sell a similar combination of products. e.g: Menu of Einstein and Panera are quite similar. Both menus for breakfast include; bagels, scones, cinnamon twists, coffee cake, cookies, and muffins. Lunch menus include; soups, salads, and sandwiches. They also both offer hot and cold beverages. * Starbucks which has more than ten times more locations and around eight times more revenue. Like Starbucks, Panera Bread hopes to convey a casual, friendly atmosphere for people to “chill out” and enjoy the Wi-Fi and good times with friends. * While these are the closest rivals, Panera must also compete with casual dining restaurants, fast food places and any number of other locally- owned establishments. Dinner segment Applebee's has a strong position; it has the double of locations and a weak presence abroad. Its revenues are a 70% higher than Panera and also it has a good reputation. Specific bakery segment Au Bon Pain represents a serious competitor; with the 40% of location in USA and abroad than PBC, also has reached around of the 40% in revenues than Panera. Comfort, family customers and customer acceptance segment Cracker Barrel represents a risk; the business development is different for a fair comparison...
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...enterprise in 1981, which they termed Au Bon Pain Co. Store units bloomed throughout the eastern regions in airports and shopping centers, making a name of themselves within the bakery-café division. Upon realizing the consumers in the fast food division were additionally attracted to a higher-quality dining experience, top management acquired Saint Louis Bread locations, altering the menus and atmosphere to their vision. Ultimately, in 1997, all bakery-cafes were titled Panera Bread outside of their St. Louis markets. Fast-forwarding to recent years, Panera Bread has received numerous awards, such as the Harris Poll EquiTrend, which ranked Panera as the Casual Dining Restaurant...
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...convenient enough to where it can compete with the fast-food concept. The “star of the show” and the foundation of the value proposition was Panera’s renowned authentic, baked fresh daily in the store artisan bread, as a main staple on the menu. The menu initially consisted of breakfast breads and pastries, sandwiches, salads and soups and was served on-site. Through the years the restaurant expanded their menu to include a variety of seasonal items, fruit smoothies, Espresso bars, etc. By offering a unique high quality menu options paired with its ambience Panera has been successfully gaining ground on some of its main rivals such as McDonalds, Chili’s, Applebee’s and California Pizza Kitchen, to name a few. Furthermore, management expanded the concept to incorporate catering, which has become a significant addition to the revenue stream. Yet even with the rapid growth, product line-up and service options expansions, the company never lost sight of its roots or waivered from the original concept of offering high-quality food, great customer service and “feels like home” atmosphere. “Panera was founded on the belief that quick food could be quality food,” said Ron Shaich, founder, Chairman and CEO . Being able to establish and gain market share in the fast casual” industry Panera Bread Co competes in didn’t come overnight was a result of carefully crafted and executed strategy, which was a product of many years of experience and great...
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...Morgan Johnson 1/11/16 Block 4 Green Classification Essay The Category Game As a miserable employee of the Panera Bread Restaurant/Café/Bakery, I confess that I have spent the most of my shifts during the past 2 years categorizing any and all customers I come in contact with. This childish game I play in my own head, and sometimes with my co-workers, can last anywhere from 4 to 10 hours. Every person that walks through Panera’s streaky glass doors on a mission to feed themselves the most overpriced and overhyped food, fall victim to this game. Nine times out of ten I am the first employee an incoming customer sees. Nine times out of ten I am the first employee to observe a customer’s behavior, prepare myself to act as fake as the ingredients in processed foods, and provide the customer service that I am required to do as specified in my job description. There are several factors that play into where a customer lies on the “enjoyable” to “ready to march my-underpaid-self straight out the front doors” scale, and I within a 60 second interaction with a person, I can put them exactly where they belong. Like most food based businesses, we have our regular customers that come in anywhere from 1 to 15 times per week to get their favorite drink, snack, meal, or bakery item. I can proudly say I adore approximately 80% of them. I have multiple “family members” that aren’t necessarily blood related to me. This 80% of the regular customer population fall under the enjoyable, crazy...
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...Panera Bread Case Study Paper August 16, 2013 Introduction Panera Bread Company got its start in 1981 known as Au Bon Pain Co. Inc. Since that time it has gone through several changes until it eventually became the Panera Bread Company in 1999. They have forged forward through the recession and a weak economy to become a well-respected restaurant known for its quality food. This review will take you through the beginnings of Panera Bread to where they are now. It will also cover their main competition and how they compare to each other, and the different charitable organizations that Panera sponsors. Founded by Louis Kane and Ron Shaich, Au Bon Pain Co was established in 1981. Their stores were mainly along the east coast of the United States and internationally where they prospered throughout the 1980’s and 1990’s. “In 1993, Au Bon Pain Co., Inc. purchased Saint Louis Bread Company, a chain of 20 bakery-cafes located in the St. Louis area” (Panera Bread, 2013). During that time the St. Louis Bread Company was in the process of renovating its bakery-cafes in the St. Louis area. Between 1993 and 1997 average unit volumes increased by 75% after completing a comprehensive re-staging of Saint Louis Bread Company. Eventually the name was changed to Panera Bread. Panera is a word that has roots in “breadbasket” in Latin. Panera Bread knew that they had the potential of becoming one of the leading brands in the nation. In order for Panera Bread to reach its potential...
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...In 1976, Au Bon Pain (“where good bread is”) Bakery was opened as a response to the request for a conceptional fast casual restaurant. Ronald Shaich and Louis Kane merged their business, Cookie Jar Bakery and Aub Bon Pain Bakery, together after a period of debt to create Au Bon Pain Co. Inc. In 1985, the two decided to add fresh made sandwiches to their menu after noticing that their customers were buying their fresh baked bread in order to capitalize on their profit. As of September 25, 2012, they have over 1,600 locations in over 44 states and Canada. More than 776 of its locations are company-operated, while the rest are run by franchisees. Its locations operate under the names Panera Bread, Saint Louis Bread Company, and Paradise Bakery & Café. Panera offers the projection of an inviting atmosphere in all of its establishments. The stores are located mostly in suburban areas with their target consumers being the urban workers and local community. Panera Bread Company has the mission statement of “a loaf of bread in every arm”. The main goal of Panera Bread is to change America’s eating habits. They produce more bread each day than and other bakery-café in the country. The menu at Panera ranges from muffins and bagels to soups, made-to-order sandwiches, and salads. They also have multiple coffees, frozen drinks, teas, and soft drinks. Panera is recognized for leading the nationwide trend for specialty breads. The Wall Street Journal reported that according to...
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...Panera Bread Company Panera Bread began way back in 1981 as Au Bon Pain co. Inc. It was founded by Louis Kane and Ron Shaich. It operated along the east coast and internationally throughout the 1980s and 1990s. It quickly became the dominant leader within the bakery-café category. By 1997, it was clear the Panera Bread had the potential to become one of the best brands in the nation. Because the brand took off so quickly and is well known around the world. We as investors and consultants we need to look at what can make the company even better and continue to grow even more. In order to do so we will need to look at a SWOT analysis of the company, determine if the company possess core or distinctive competencies, and recommendations regarding actions the company needs to take to strengthen its competitive position. SWOT analysis is a planning method used to evaluate the strengthens, weaknesses, opportunities and threats involved in running a successful business. First we will discuss Panera Bread's strengthens. One of the very best thing about Panera Bread is that there is always fresh baked bread daily. Most restaurants offer free wifi for their guest. Another strong point is that Panera offers a menu for every time of the day and the menu also lets you decided what is healthy for you to eat. The menu lets the customer know exactly how many calories they are taking in with ordering that particular meal. The main strengthen in...
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...March 20, 2014 GBA 490-005 Written Case #2: Panera Bread Company Table of Contents Executive Summary……………………………………………………….Page 3 Recommendations and Justification……………………………………..Page 4-5 Appendix…………………………………………………………………..Page 5 External Analysis of Industry Exhibit 1: Economic Characteristics & Driving Forces…………….Page 5 Exhibit 2: PESTEL Analysis……………………………………… .Page 7 Exhibit 3: Five Forces Analysis…………………………………….Page 8 Exhibit 4: Key Success Factors……………………………………..Page 9 Exhibit 5: Driving Forces…….……………………………………..Page 10 Internal Analysis of Yammer Exhibit 6: VRIN(E)……………………………………………… …Page 11 Exhibit 7: Weighted Competitive Strength Analysis.…. …………...Page 12 Exhibit 8: SWOT(TOWS)…………………………………………...Page 13 Exhibit 9: Strategic Group Map……………………………………..Page 14 Exhibit 10: Financial Analysis………………………………………Page 15 Executive Summary In 1981, Louis Kane and Ron Saich founded a bakery-café named Au Bon Pain that were opened up in airports, shopping centers, and malls throughout the east coast. Au Bon Pain found stiff competition from fast-food competitors, so they initiated a company overhaul and opened re-concepted restaurants which would soon become nation-wide. In August of 1998 they announced the sale of Au Bon Pain for $73 million in cash and the company changed its name to Panera Bread Company. Panera Bread Company was founded during a time of growth in the economy when customers were more willing to spend the few extra...
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...8/30/2014 McDonald's Faces 'Millennial' Challenge - WSJ Dow Jones Reprints: This copy is for your personal, non-commercial use only. To order presentation-ready copies for distribution to your colleagues, clients or customers, use the Order Reprints tool at the bottom of any article or visit www.djreprints.com See a sample reprint in PDF format. Order a reprint of this article now BUSINESS McDonald's Faces 'Millennial' Challenge Customers in Their 20s and 30s Are Defecting to Fast-Casual Restaurants Like Chipotle, Five Guys By JULIE JARGON Aug. 24, 2014 9:05 p.m. ET McDonald's is trying to enhance its credibility with young customers by marketing more on digital channels and testing mobile ordering and payment. Associated Press Behind McDonald's Corp.'s worst slump in a decade is a trend that may augur even tougher times ahead: The Golden Arches is losing its luster with younger consumers. The world's largest restaurant company by revenue earlier this month reported its sharpest monthly decline in global same-store sales since early 2003, adjusted for calendar irregularities. In the U.S., with more than 40% of McDonald's 35,000-plus global locations, sales at restaurants open at least 13 months have been flat or falling for most of the past year. The hamburger giant on Friday announced it was replacing the head of its U.S. division for the second time in less than two years. The company tapped a former executive, Mike Andres, to take the helm...
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...Course Management Principles Student: Scott Buble Instructor: Professor Dewan Date: October 28, 2012 SWOT Analysis |Organization: Amy’s Bread | |Operational Objectives: Has had steady growth throughout the past few years and becoming more and more competitive in the| |New York City Market. Amy is weighing her options to see if she should focus on retail or wholesale and also whether or | |not to move to a larger location. | INTERNAL |Strengths |Weaknesses | |Amy’s Bakery is Zagat rated which helps to distinguish her bakery as being |The bakery industry is extremely competitive and many times there are low wholesale | |extremely successful. |profit margins. | |Amy’s Bakery, unlike many others, donates to charities, which helps consumers |Locations in New York City are very expensive and there are always bakeries opening | |see they also care about the community. |which makes the bakery environment more competitive. | |Amy has a high...
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...Leadership (HRM 501) Panera Bread Company Team - 04 Submitted to: Shahriar Akbar Chowdhury Course instructor Organizational Behavior & Leadership Submitted by: Humaira Nazia – 12164096 Urfa Zewar – 11364027 Rounak Morsalin – 12164021 Sheikh Tania Akhter – 12164081 Md. Mamunur Rashid Mamun – 12164084 Date of Submission: 28th January, 2013 BRAC University, Mohakhali Question 1: what do you describe as Panera’s purpose, mission and strategy? Use the firm’s website for the further information and assistance. Panera bread started their journey from 1997. Ron Shaich, the owner of this company is operating this company very well to move the business forward. * Panera’s purpose: Panera bread wants to operate its business with the purpose of satisfying customers with fresh baked breads, gourmet soups and efficient service. * Panera’s Mission: “A loaf of bread in every arm.” * Panera’s Strategy: For a new franchise like Panera is not easy to be successful within a very short time. But their strategy was to understand the long term trends at play and getting the organization ready to respond to it. They were very careful in terms of responding according to the need of the customers. That’s why before customers starts complaining about trans fat, Panera bread voluntarily eliminate it from the menu. So their strategy is hitting the bulls’ eye. Question 2: How well has Ron Shaich utilized the open system model of organizations in moving Panera Bread Company forward in...
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...The History of Bread Bread is an essential part of our diets and feels like it has literally been around forever. There is bread, no matter where you travel to and in many different taste, shapes, colors. Bread has been given its own culture through different countries over thousands of years. Bread is a pleasantly soft baked-good that you can find almost anywhere and in almost anything. No one is completely 100% sure when bread was invented, however, we do know that the bread eaten then was undeniably different from the bread we eat today. “For much of recorded human history, man, indeed, did pretty much live by bread alone. Our close relationship with the staff of life goes back at least 6,000 years to Egypt, where still today, the words...
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...Creating a Business Gerri Lutz Professor Ashok BUS 10008616 July 25, 2010 When setting up a business there will be many challenges that you can encounter during this process. And why customers would pay a higher price for goods, and others less because of the quality of the product being marketed. In the following questions and answers, this will tell you why customers will definitely pay for the quality. 1. Identify at least three challenges when setting up a business. Explain why they are challenges. 2. Define what a “niche” product is. Give at least three examples of niche products. 3. Explain why a niche company might have an advantage in a market. Would price necessarily be an advantage? Explain why or why not. 4. Identify and explain three reasons why customers would pay more for exclusivity. 5. Explain how a niche player “chips away” at a larger competitor’s base. Give three examples of retailers who have done this. Identify at least three challenges when setting up a business. Explain why they are challenges. Financing: Does the owner have sufficient cash flow to fund the opening of the business as well as continuing operations? Many times an owner does have enough financial background to open their doors...
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...1. What is Panera Bread’s strategy? Which of the five generic competitive strategies discussed in Chapter 5 most closely fit the competitive approach that Panera Bread is taking? What type of competitive advantage is Panera Bread trying to achieve? Strategy was to aggressively expand its market presence across North America and improve the quality of the dining experience it provided to customers. From the five competitive strategies discussed in chapter 5 I would Best-Cost Provider strategy. Panera Bread provides common café beverages around the country. They do however manage to offer products at lower cost to it rivals and still give their customers more value for their money by incorporating good to excellent product qualities. Panera is striving for to achieve a type of competitive advantage that is a lower cost then its rivals with a market that targets a broad cross-section of buyers. 2. What does a SWOT analysis of Panera Bread reveal about the overall attractiveness of its situation? Does the company have any core competencies or distinctive competencies? Strengths: • Attractive & appealing menu • Bread-baking expertise • Artisan breads are Panera’s signature product. • Nationwide leader in the bakery-café segment • High ratings in customer satisfaction • Solid brand name • Initial success in catering • Good franchisees higher sales in franchised stores compared to company-owned • Financial strength of the company able to grow without taking on...
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...Finding of Fact #2: The Panera Bread Organization does not have a forceful promoting system and expects to give clients a chance to find Panera all alone. Panera's administration is not as quick as other fast-food organizations and charges higher costs. Panera has higher costs than opponents, which could be because of their working expenses. Panera has extended in the previous years; however, the areas are thought topographically. Recommendation #2: Panera had chances to proceed with their achievement in the quick easygoing industry. They can attempt to control working costs that may be crazy or pointless. The organization ought to consider venturing into new markets and growing topographically, even globally. Items can ceaselessly be made...
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